A company is considering manufacturing a new product. When figuring out its economic feasibility, all costs of

manufacturing the product are added together. These costs Include those for research and development, raw materials,

facilities and machinery, distribution, marketing, and employee salaries and benefits. Then this total is divided by the

number of items to be produced, enabling the company to determine the

Question

Business

Jamir Stevenson

28 December, 04:48

A company is considering manufacturing a new product. When figuring out its economic feasibility, all costs of

manufacturing the product are added together. These costs Include those for research and development, raw materials,

facilities and machinery, distribution, marketing, and employee salaries and benefits. Then this total is divided by the

number of items to be produced, enabling the company to determine the

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Answers (1)

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Jakobe Stafford · Answer 1

A company is considering manufacturing a new product. When figuring out its economic feasibility, all costs of manufacturing the product are added together. These costs Include those for research and development, raw materials, facilities and machinery, distribution, marketing, and employee salaries and benefits. Then this total is divided by the number of items to be produced, enabling the company to determine the PRICE

Explanation:

Price determination comes as a result total cost for materials, machinery used, marketing, salaries among others. After all these has been considered, the price of such goods is fixed in order to make profit rather than loss.